Case Study On Green Asset Securitization Of Chinese Enterprises

The transformation from a resource-and pollution-intensive economy to a green economy is the current strategic focus of China.The success of economic green transformation depends on the development of green industry and the transformation of traditional industry.In this context,China is facing a huge demand for funds for environmental governance and improvement.Finance is the core of contemporary economic development.In the process of economic green transformation and green development,green finance can play the role of capital orientation,guide the flow of funds to green industry,make up for the fund gap of green development,effectively reduce the financing cost of green industry,thus alleviating the financing difficulties of green industry,especially small and medium-sized green enterprises,and boosting the development of green industry and green transformation of economy.As a new debt financing tool,Green Asset-backed Securities has many theoretical advantages in green financing.However,the green asset securitization of Chinese enterprises has not developed on a large scale since 2016,which indicates that there are still many problems hindering its large-scale development.Therefore,it is of practical significance to study the problems of green asset securitization in Chinese enterprises for improving the green financial system.This paper first gives an overview of China’s green asset securitization.This paper discusses the development background of green asset securitization,sorts out the policies,definitions and classifications of green asset securitization,and analyzes the unique advantages and development status of green asset securitization.Based on this,this paper puts forward the argument that the green asset securitization of Chinese enterprises has many advantages,but there are still problems that restrict its large-scale development.On the basis of theoretical analysis,this paper selects the special plan of Tray’s green asset support as a case to analyze the factors that restrict the development of corporate asset securitization in China.According to theoretical analysis and case analysis,this paper draws the following conclusions: Enterprise green asset securitization can improve investment accuracy,reduce corporate asset-liability ratio,and meet the needs of both supply and demand through a cyclical purchase mechanism,and it has a positive impact on the stock price and liquidity of listed companies.But there are still four problems that restrict its large-scale development: the cost of issuing green asset-backed securities is relatively high for investors;for investors,investing in green asset-backed securities exists in society.The contradiction between responsibility and profitability;the sponsors of green asset-backed securities are mostly large-scale enterprises or leading enterprises with good qualifications,and have not yet involved small and medium-sized enterprises;there is no unified evaluation standard and method system for green certification.Finally,this paper puts forward three suggestions,which can provide some reference for green asset-backed securitization of enterprises to better play its role and support the development of green finance and green industry in China.The innovation of this paper is that,first of all,previous research on green financial products focused on green credit and green bonds.The focus of this paper is on green asset securitization,which is in line with the background of vigorously promoting the development of green finance through various channels in China.Secondly,the paper puts forward some suggestions on how to quantify the external environmental benefits into monetary returns and how to develop green asset-backed securities for SMEs.Firstly,the development of green asset securitization is relatively late,and there are few relevant references,so there may be a lack of theoretical analysis.Secondly,the cases selected in this paper are typical,but the case analysis itself still has some limitations,which may not fully reflect all the problems of green asset securitization in Chinese enterprises.Finally,in view of the problems and difficulties that may arise in the implementation of the relevant recommendations,the discussion in this regard may be insufficient.